Liberty Mutual Group’s business units are looking to lead a lawsuit against American International Group, according to reports from Business Insurance.
The Boston-based insurer is seeking to step into an ongoing case that had been spearheaded by a pool of AIG’s competitors. The competitors, known as the National Workers Compensation Reinsurance Pool, claimed they were unfairly excluded from a 2007 settlement in which AIG paid states more than $300 million to settle allegations that it underreported workers comp premiums for several decades.
The pool’s suit had been dismissed on Aug. 20 after a judge ruled that the group lacked the standing to sue AIG. Liberty Mutual’s business units are now trying to take the pool’s place as lead plaintiffs.
Meanwhile, AIG filed a countercomplaint that alleges the pool members also underpaid for state’s workers comp – AIG supposedly underreported its figures to get out of paying its fair share of the residual market assessment, it claims that its competitors did so, too.





